Cross Timbers Royalty Trust Declares October Cash Distribution
Argent Trust Company, acting as Trustee of the Cross Timbers Royalty Trust (NYSE: CRT), has declared a cash distribution for the unit holders. This distribution amounts to $0.064592 per unit, payable soon to those holding units as of a recent record date. The cash distribution reflects the Trust’s performance and underlying sales related to oil and gas production.
Understanding the Recent Distribution
This month’s distribution highlights the Trust's financial health through the mechanism of benefitting its unitholders. The amount declared indicates the revenue collected from the underlying assets over time. In recent months, fluctuations in oil and gas sales volumes have been observed, influenced by market demand and timing of sales receipts.
Financial Performance Snapshot
To give clarity, the underlying sales volumes for October indicated that the Trust's oil production totaled 12,000 barrels, while gas production reached 82,000 Mcf. Average prices recorded were notable, with oil priced at $76.77 per barrel and gas at $4.46 per Mcf. In comparison, the previous month's distribution showed higher volumetric output for both oil and gas, leading to changes in income distributions.
Litigation and Financial Adjustments
Recent updates from the Trust include the court’s approval of a settlement in a class action lawsuit against XTO Energy Inc., linked with production costs. This legal matter pertains to royalties previously disputed, affecting financial dynamics and resulting in production cost adjustments for the Trust.
Impact of Excess Costs on Distributions
XTO Energy has communicated that excess costs related to certain properties have increased significantly, equating to approximately $125,000. While these costs impact operational calculations, they did not detract from overall net proceeds derived from other transformations in conveyances associated with the net profits interests.
Strategic Outlook for the Trust
As the Trust navigates these complex and evolving financial landscapes, it remains committed to transparency and regular updates with stakeholders. Tracking the impacts of external market factors, to maintaining reliable distributions is crucial as it strives to optimize the performance of its underlying assets.
Communication and Information Access
For additional insights into the Trust's performance, unit holders are encouraged to access comprehensive reports and updates, which will be made available through the official Cross Timbers Royalty Trust platform. Regular communications ensure stakeholders are kept informed of financial developments.
Frequently Asked Questions
What is the cash distribution amount declared for October?
The cash distribution amount declared for October is $0.064592 per unit.
When will the cash distribution be payable?
The cash distribution will be payable on November 15, 2024, to unitholders who are on record as of October 31, 2024.
How does the settlement with XTO Energy affect the Trust?
The settlement with XTO Energy resulted in adjustments in production costs, influencing the financial distributions to unit holders.
What are the reported production volumes for October?
For October, the reported production volumes were 12,000 barrels of oil and 82,000 Mcf of gas.
How can unit holders access additional information on the Trust?
Unit holders can access additional information and related financial documents through the Cross Timbers Royalty Trust's official website.
